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At December 31, the cash balance per books was $13,985.20, and the cash balance per the bank state- ment was $19,239.10. The bank did not make any errors, but Langer Company made two errors. 8-44 CHAPTER 8 Fraud, Internal Control, and Cash a. Adjusted balance per books $16,043.20 Instructions a. Using the steps in the reconciliation procedure described in the chapter, prepare a bank reconcilia- tion at December 31, 2020. b. Prepare the adjusting entries based on the reconciliation. (Hint: The correction of any errors per- taining to recording checks should be made to Accounts Payable. The correction of any errors relat- ing to recording cash receipts should be made to Accounts Receivable.)

At December 31, the cash balance per books was $13,985.20, and the cash balance per the bank state- ment was $19,239.10. The bank did not make any errors, but Langer Company made two errors. 8-44 CHAPTER 8 Fraud, Internal Control, and Cash a. Adjusted balance per books $16,043.20 Instructions a. Using the steps in the reconciliation procedure described in the chapter, prepare a bank reconcilia- tion at December 31, 2020. b. Prepare the adjusting entries based on the reconciliation. (Hint: The correction of any errors per- taining to recording checks should be made to Accounts Payable. The correction of any errors relat- ing to recording cash receipts should be made to Accounts Receivable.)

Financial Accounting: The Impact on Decision Makers
Financial Accounting: The Impact on Decision Makers
10th Edition
ISBN:9781305654174
Author:Gary A. Porter, Curtis L. Norton
Publisher:Gary A. Porter, Curtis L. Norton
Chapter6: Cash And Internal Control
Section: Chapter Questions
Problem 6.4E
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P8.5

At December 31, the cash balance per books was $13,985.20, and the cash balance per the bank state- ment was $19,239.10. The bank did not make any errors, but Langer Company made two errors. 8-44 CHAPTER 8 Fraud, Internal Control, and Cash a. Adjusted balance per books $16,043.20 Instructions a. Using the steps in the reconciliation procedure described in the chapter, prepare a bank reconcilia- tion at December 31, 2020. b. Prepare the adjusting entries based on the reconciliation. (Hint: The correction of any errors per- taining to recording checks should be made to Accounts Payable. The correction of any errors relat- ing to recording cash receipts should be made to Accounts Receivable.)
Transcribed Image Text:At December 31, the cash balance per books was $13,985.20, and the cash balance per the bank state- ment was $19,239.10. The bank did not make any errors, but Langer Company made two errors. 8-44 CHAPTER 8 Fraud, Internal Control, and Cash a. Adjusted balance per books $16,043.20 Instructions a. Using the steps in the reconciliation procedure described in the chapter, prepare a bank reconcilia- tion at December 31, 2020. b. Prepare the adjusting entries based on the reconciliation. (Hint: The correction of any errors per- taining to recording checks should be made to Accounts Payable. The correction of any errors relat- ing to recording cash receipts should be made to Accounts Receivable.)
P8.5A (LO 3) The bank portion of the bank reconciliation for Langer Company at November 30, 2020, was as follows. Cash balance per bank Add: Deposits in transit Date 12-1 12-2 12-2 12-4 Less: Outstanding checks Check Number 12-8 12-10 3451 3470 3471 3472 3474 Adjusted cash balance per bank Date 12-1 12-2 12-7 12-4 12-8 12-10 12-15 12-27 12-30 12-29 12-31 Number 3475 3476 3477 3478 3479 3480 12-17 3481 Langer Company Bank Reconciliation November 30, 2020 The adjusted cash balance per bank agreed with the cash balance per books at November 30. The December bank statement showed the following checks and deposits. Bank Statement Checks Number 3451 3471 3472 3475 3476 3477 3479 3480 3482 3483 3485 Total Check Amount $2,260.40 720.10 844.50 1,426.80 1,050.00 The cash records per books for December showed the following. Amount $ 2,260.40 844.50 1,426.80 1,640.70 600.00 Total 807.40 1,300.00 2,130.00 3,080.00 600.00 475.50 1,140.00 540.80 $15,438.70 2,130.00 12-23 3484 621.30 12-24 3485 3,080.00 12-30 3486 Date 12-1 12-4 12-8 12-16 12-21 12-26 12-29 12-30 Total Cash Payments Journal Amount Date Number Amount $1,640.70 12-20 3482 $ 475.50 1,300.00 12-22 3483 1,140.00 $14,367.90 2,530.20 16,898.10 798.00 450.80 889.50 $13,933.20 6,301.80 $10,596.30 Deposits Amount $ 2,530.20 1,211.60 2,365.10 2,672.70 2,945.00 2.567.30 2,836.00 1,025.00 $18,152.90 Cash Receipts Journal Date 12-3 12-7 12-15 12-20 12-25 12-28 12-30 12-31 Total Amount $ 1,211.60 2,365.10 2,672.70 2,954.00 2,567.30 2,836.00 1,025.00 1,690.40 $17,322.10 The bank statement contained two memoranda: 1. A credit of $2,242 for the collection of Langer Company of an electronic funds transfer. 2. A debit for the printing of additional company checks $85. At December 31, the cash balance per books was $13,985.20, and the cash balance per the bank state- Prepare a bank reconciliation and adjusting entries from detailed data.
Transcribed Image Text:P8.5A (LO 3) The bank portion of the bank reconciliation for Langer Company at November 30, 2020, was as follows. Cash balance per bank Add: Deposits in transit Date 12-1 12-2 12-2 12-4 Less: Outstanding checks Check Number 12-8 12-10 3451 3470 3471 3472 3474 Adjusted cash balance per bank Date 12-1 12-2 12-7 12-4 12-8 12-10 12-15 12-27 12-30 12-29 12-31 Number 3475 3476 3477 3478 3479 3480 12-17 3481 Langer Company Bank Reconciliation November 30, 2020 The adjusted cash balance per bank agreed with the cash balance per books at November 30. The December bank statement showed the following checks and deposits. Bank Statement Checks Number 3451 3471 3472 3475 3476 3477 3479 3480 3482 3483 3485 Total Check Amount $2,260.40 720.10 844.50 1,426.80 1,050.00 The cash records per books for December showed the following. Amount $ 2,260.40 844.50 1,426.80 1,640.70 600.00 Total 807.40 1,300.00 2,130.00 3,080.00 600.00 475.50 1,140.00 540.80 $15,438.70 2,130.00 12-23 3484 621.30 12-24 3485 3,080.00 12-30 3486 Date 12-1 12-4 12-8 12-16 12-21 12-26 12-29 12-30 Total Cash Payments Journal Amount Date Number Amount $1,640.70 12-20 3482 $ 475.50 1,300.00 12-22 3483 1,140.00 $14,367.90 2,530.20 16,898.10 798.00 450.80 889.50 $13,933.20 6,301.80 $10,596.30 Deposits Amount $ 2,530.20 1,211.60 2,365.10 2,672.70 2,945.00 2.567.30 2,836.00 1,025.00 $18,152.90 Cash Receipts Journal Date 12-3 12-7 12-15 12-20 12-25 12-28 12-30 12-31 Total Amount $ 1,211.60 2,365.10 2,672.70 2,954.00 2,567.30 2,836.00 1,025.00 1,690.40 $17,322.10 The bank statement contained two memoranda: 1. A credit of $2,242 for the collection of Langer Company of an electronic funds transfer. 2. A debit for the printing of additional company checks $85. At December 31, the cash balance per books was $13,985.20, and the cash balance per the bank state- Prepare a bank reconciliation and adjusting entries from detailed data.
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